MANILA, Philippines - Sy-led SM Investments Corp. (SMIC) has increased its stake in Atlas Consolidated Mining and Development Corp.

In a disclosure to the stock exchange, Atlas said SMIC purchased its P5.34 billion convertible loan from BDO Unibank Inc. The loan is covered by a July 25, 2011 secured notes facility agreement between Atlas and BDO.

SMIC intends to convert the loan into equity, which will increase its stake in Atlas to 28.43%.

SMIC's decision to increase its equity investment in Atlas affirms its optimism in the mining company's potential for growth.

Earlier, Atlas said its wholly-owned subsidiary Carmen Copper Corporation produced a record 7.35 million pounds of payable copper in March 2012, and increased its production rate by 21% in the first quarter. Carmen operates the  Toledo copper mine in Cebu.

Atlas is actively pursuing exploration projects and is looking into acquisition opportunities.